“This is incredibly timely, given our collective commitment and my personal commitment to addressing homelessness and housing in our city,” Councilwoman Nikki Fortunato Bas, one of the ordinance’s sponsors, said during Tuesday’s council meeting.Currently, background checks are a standard part of applying for rental housing, and applicants with a criminal record often are denied.

Keeping that track record/reputation strong is so vital to a sponsor's continual growth. 

Usually, the Sponsor/Syndicator will front those costs then get reimbursed at closing.

It usually only works when you're able to buy large blocks of sponsor units and flip them when units open up.

My insurance agent says I've reached the 5 property max to receive better pricing through their go-to carrier, Vermont Mutual, and will now have to bind with a more expense Massachusetts state-sponsored program.

We are sponsors and operators, and we seem to agree on things.Others disagree with us.

I just paid a lawyer to send me a term sheet on a fund that I would like to start for investors from out of the country to bring capital into and use that capital to fund other sponsors deals. 

I know ideally 10% or more would be great.You can likely get a preferred return of 7%-8% from a multifamily syndicate deal and assuming you find a good market, a good sponsor and a good deal you can expect returns of mid to high teens on a value-add deal.

These investments do require upfront work to verify the market, sponsor, deal, management company etc but once that is done it is completely hands off.Owning rental homes is more passive than working a full time corporate job but they do require hands on involvement, even with a management company.I like to think of it in terms of how much leverage do I get from my most scarce resource, time.

Going the active route will not only take up a lot more of your time just to find and manage properties, but there will also be a (likely lengthy depending on your current level of expertise) learning curve required to get you to the same level of expertise as Sponsor/Operators you can invest with to minimize risk/maximize returns.